SOURCE: Community Bank of the Bay
October 07, 2010 09:00 ET
Community Bank of the Bay Awarded $2.313 Million in Additional Capital
OAKLAND, CA--(Marketwire - October 7, 2010) - Community Bank of the Bay (Bank) (OTCBB: CBYAA) announced that the Bank was awarded $2.313 million in additional funds which was part of an exchange of capital into the Community Development Capital Initiative (CDCI) program administered and approved by the United States Department of the Treasury. As a designated Community Development Financial Institution (CDFI), Community Bank qualified for these additional monies to further their lending to the local businesses surrounding their three offices in Oakland, Danville and San Jose.
William Keller, President/Chief Operating Officer, stated that "This capital exchange is beneficial to Community Bank of the Bay on a number of levels. First and foremost, receiving approval for an exchange of this nature demonstrates that both the Federal Reserve and the U.S. Treasury have confidence in the Bank and in our ability to appropriately utilize the capital to benefit the communities we serve in the long term. Additionally because the CDCI program provides less costly and more efficient capital, Community Bank of the Bay will realize an annual decrease in interest expense.
"This additional capital complements the $7.7 million the Bank raised earlier in the year from local investors. The additional capital raised enabled Community Bank of the Bay to provide funding to businesses such as Car West Auto Body. Craig Moe, President of Car West Auto Body stated, "When it came time to grow my business, Community Bank of the Bay was there for me. And in a climate where other banks are difficult to deal with, Community Bank of the Bay actually did what they said they would do... and on time. I couldn't ask any more of a bank!"
Community Bank of the Bay serves the financial needs of a variety of commercial customers including businesses, professional service firms and nonprofit organizations. Information on the bank is available online at www.communitybankbay.com. Community Bank of the Bay is a member of the FDIC.